Reviewing global oil supplies, have enough fuel: Puri

INDIA IS REVIEWING the global oil supply situation and the emerging tensions between Israel and Iran on a daily basis, Union minister of petroleum and natural gas Hardeep Singh Puri said on Monday, adding that there is no concern on oil supplies and the country has sufficient domestic stocks.

- ARUNIMA BHARADWAJ

The latest conflict between Iran and Israel has once again posed a threat to India's energy supplies, exposing it to price shocks, given its heavy reliance on crude oil imports - much of it through the vulnerable Strait of Hormuz.

While the country does not directly import Iranian crude oil, any disruption in West Asia could hamper the flow of energy trade with potential increase in freight and insurance cost, experts believe.

Official sources, who did not wish to be identified, told FE that the country is well prepared to protect its interest and closing the Strait of Hormuz route is not in anyone's interest as over 22% of global energy trade happens through the channel.

Following the conflict, crude oil prices spiked on Friday with Brent hitting up to $78 per barrel.